PensionDanmark tried the case before the ECJ. In its verdict, the ECJ recognises that PensionDanmark constitutes an investment fund for VAT purposes and that the administration services provided by ATP PensionService A/S to PensionDanmark constitute management of an investment fund. Consequently, the administration services provided by ATP Services A/S to PensionDanmark from 1991 and until today will be VAT exempt.
"We are very pleased with the verdict. We are obligated to give our members the best possible conditions and thereby manage our members' savings at the lowest possible cost. PensionDanmark is a member owned pension fund and a VAT exemption will thereby benefit the members," says Head of Tax, Maj-Britt Klemp.
The Danish High Court, which requested the preliminary hearing from the ECJ, will now pass judgment in the case.